AN ACT relating to taxation; * * *; authorizing the Board of County
Commissioners of Nye County to increase the sales and use tax to support public
safety services in Nye County; and providing other matters properly relating
thereto.

[Approved: June 18, 2007]

(Leadlines for sections have been supplied by the
Legislative Counsel of the State of Nevada)

The
People of the State of Nevada, represented in Senate and Assembly, do enact as
follows:

Sec. 3. Short
title. [Effective through September 30, 2027.]Sections
3 to 22, inclusive, of this act may be cited as the Nye County Sales and Use
Tax Act of 2007.

1. Nye County has experienced and
continues to experience substantial growth, growing from a population of 32,485
residents in 2000 to a projected population of over 44,580 residents in 2006;

2. Nye County is the third largest county
in terms of geographic area in the United States and the growth in Nye County
has occurred over this wide geographical area;

3. The increase in the number of public safety
personnel and facilities to protect the residents of Nye County has not kept
pace with this growth;

4. The danger from fire and crime is
increasing in Nye County, and so is the time it takes for public safety
personnel to respond when a resident reports a fire or crime;

5. It is intended that the Board of County
Commissioners of Nye County establish a program that promotes community
participation in protecting the residents of the community that includes,
without limitation:

(a) A written policy on providing public safety
services oriented toward the involvement of residents of the community;

(b) The provision of training for all public
safety personnel employed in the County that includes, without limitation,
training relating to:

(1) Methods that may be used to analyze,
respond to and solve problems commonly confronted by public safety personnel in
the community;

(2) The cultural and racial diversity of
the residents of the community;

(3) The proper utilization of community
resources, such as local housing authorities, public utilities and local public
officials, that are available to assist in providing public safety services;
and

(4) Issues concerning not only the
prevention of fires and crime, but also improving the quality of life for the
residents of the community; and

(c) The formation of partnerships with the
residents of the community and public and private agencies and organizations to
address mutual concerns relating to the provision of public safety services;

6. A general law cannot be made applicable
to the purposes, objects, powers, rights, privileges, immunities, liabilities,
duties and disabilities provided in this act because of the demographic,
economic and geographic diversity of the local governments of this State, the unique
growth patterns occurring in Nye County and the special financial conditions
experienced in the County relating to the need to recruit, employ and equip
more public safety personnel and to construct, improve and equip public safety
facilities; and

7. The powers, rights, privileges,
immunities, liabilities, duties and disabilities provided in this act comply in
all respects with any requirement or limitation pertaining thereto and imposed
by any constitutional provisions.

Sec. 5. Definitions.
[Effective through September 30, 2027.]Except
as otherwise provided in this act or unless the context otherwise requires, the
terms used or referred to in this act have the meanings ascribed to them in chapter 374 of NRS, as from time to time
amended, but the definitions in sections 6 to 13, inclusive, of this act,
unless the context otherwise requires, govern the construction of this act.

Sec. 11. “Employ”
defined. [Effective through September 30, 2027.]“Employ” means making an expenditure for the
purpose of providing employment, including, without limitation, paying wages
and benefits.

Sec. 12. “Recruit”
defined. [Effective through September 30, 2027.]“Recruit” means making an expenditure for the
purpose of attracting applicants for employment or persuading an applicant to
accept employment, including, without limitation, providing materials and
services relating to recruitment, paying signing bonuses, paying expenses
relating to relocation and providing assistance with the purchase of a house.

Sec. 14. Imposition
of tax; allocation and use of proceeds; prerequisites to change in use.
[Effective through September 30, 2027.]

1. The Board may enact an ordinance
imposing a local sales and use tax to:

(a) Recruit, employ and equip additional
firefighters, deputy sheriffs to the Sheriff and other public safety personnel;

(b) Improve and equip existing public safety
facilities; and

(c) Construct and equip new public safety
facilities.

2. Before enacting such an ordinance, the
Board shall hold a public hearing to present its plan for implementing the
local sales and use tax.

3. The proceeds from the tax authorized
pursuant to this section, including interest and other income earned thereon,
must be:

(a) Allocated for expenditure:

(1) In the areas of Pahrump, Amargosa
Valley, Beatty, Tonopah, Round Mountain, Manhattan, Gabbs and any other town or
city created in Nye County after October 1, 2007, and in the remaining unincorporated area of Nye County on a pro rata basis in each of those areas based
upon the ratio of the population of that area to the total population of Nye
County; or

(2) In any other manner that the Board and
the governing body of each of those areas agree to be appropriate to carry out
the purposes set forth in subsection 1 in accordance with the provisions of
section 17 of this act.

Ê As used in
this paragraph, “population” means the estimated annual population determined
pursuant to NRS 360.283.

(b) Used only as approved pursuant to section 17
of this act and only for the purposes set forth in subsection 1 unless the
Legislature changes the use. The Board shall, before submitting to the
Legislature any request to change the uses for the proceeds from the tax,
submit an advisory question to the voters of the County pursuant to NRS 295.230, asking whether the
uses for the proceeds from the tax should be so changed. The Board shall not
submit such a request to the Legislature if a majority of the voters in the
County disapprove the proposed change.

Sec. 15. Required
provisions of ordinance. [Effective through September 30, 2027.]An ordinance enacted pursuant to this act
must include provisions in substance as follows:

1. A provision imposing a tax on the gross
receipts of any retailer from the sale of all tangible personal property sold
at retail or stored, used or otherwise consumed in the County, including
incorporated cities in the County, at a rate that does not exceed one-half of 1
percent.

2. Provisions substantially identical to
those contained in chapter 374 of NRS,
insofar as applicable.

3. A provision that an amendment to chapter 374 of NRS enacted after the
effective date of the ordinance, not inconsistent with this act, automatically
becomes part of the ordinance imposing the tax.

4. A provision that the Board shall
contract with the Department, before the effective date of the ordinance, to
perform all the functions incident to the administration or operation of the
tax in the County.

5. A provision that a purchaser is
entitled to a refund, in accordance with the provisions of NRS 374.635 to 374.720, inclusive, of the amount
of the tax required to be paid that is attributable to the tax imposed on the
sale of, and the storage, use or other consumption in the County, including
incorporated cities in the County, of, tangible personal property used for the
performance of a written contract for the construction of an improvement to
real property:

(a) That was entered into on or before the
effective date of the tax; or

(b) For which a binding bid was submitted before
that date if the bid was afterward accepted, and pursuant to the terms of the
contract or bid, the contract price or bid amount may not be adjusted to
reflect the imposition of the tax.

6. A provision that specifies the date on
which the tax must first be imposed or on which any change in the rate of tax
becomes effective, which must be the first day of the first calendar quarter
that begins at least 120 days after the effective date of the ordinance.

Sec. 16. Amendatory
ordinances. [Effective through September 30, 2027.]An ordinance amending an ordinance enacted pursuant to
this act, except an ordinance authorizing the issuance of bonds or other
securities, must include a provision in substance that the Board shall amend a
contract made pursuant to subsection 4 of section 15 of this act by a contract
made between the Board and the Department before the effective date of the
amendatory ordinance, unless the Board determines with the written concurrence of
the Department that no such amendment of the contract is needed.

Sec. 17. Requirements
for expenditure of proceeds. [Effective through September 30, 2027.]

1. The proceeds received from any sales
and use tax imposed pursuant to this act must be expended in each of the areas
to which those proceeds are allocated for expenditure pursuant to section 14 of
this act in such a manner that half of those proceeds are expended for the
support of the services provided by local fire departments in that area and the
remaining half of those proceeds are expended for the support of the services
provided by the Sheriff in that area.

2. No expenditure of those proceeds may be
made unless the expenditure has been approved by the governing body of the area
to which those proceeds have been allocated for expenditure. The governing body
must approve the expenditure of the proceeds if it determines that:

(a) The proposed use of the money conforms to all
provisions of this act; and

(b) The proposed use will not replace or supplant
existing funding for the purposes set forth in subsection 1 of section 14 of
this act for the support of the services provided by local fire departments and
the Sheriff in that area.

3. In determining whether a proposed use
meets the requirement set forth in paragraph (b) of subsection 2, the governing
body shall determine whether the amount approved for expenditure for the fiscal
year for the purposes set forth in subsection 1 of section 14 of this act for
the support of the services of local fire departments and the Sheriff in that
area, not including any money received or expended pursuant to this act, is
equal to or greater than the amount approved for expenditure in the immediately
preceding fiscal year for the purposes set forth in subsection 1 of section 14
of this act for the support of the services of local fire departments and the
Sheriff in that area.

1. Any governing body of an area that has
approved expenditures pursuant to section 17 of this act shall submit to the
Director of the Legislative Counsel Bureau for transmittal to the members of
the Legislature, or the Legislative Commission when the Legislature is not in
regular session, the periodic reports required pursuant to this section and
such other information relating to the provisions of this act as may be
requested by the Director of the Legislative Counsel Bureau.

2. The reports required pursuant to this
section must be submitted:

(a) On or before:

(1) February 15 for the 3-month period
ending on the immediately preceding December 31;

(2) May 15 for the 3-month period ending
on the immediately preceding March 31;

(3) August 15 for the 3-month period
ending on the immediately preceding June 30; and

(4) November 15 for the 3-month period
ending on the immediately preceding September 30; and

(b) On or before August 15 for the 12-month
period ending on the immediately preceding June 30.

3. Each report must be submitted on a form
provided by the Director of the Legislative Counsel Bureau and include, with
respect to the period covered by the report:

(a) The total proceeds received by the respective
local fire departments and the Sheriff from the sales and use tax imposed
pursuant to this act;

(b) A detailed description of the use of the
proceeds, including, without limitation:

(1) The total expenditures made by the
respective local fire departments and the Sheriff for the purposes set forth in
subsection 1 of section 14 of this act for the support of the services provided
by the respective local fire departments and the Sheriff in each applicable
area from the sales and use tax imposed pursuant to this act;

(2) The total number of firefighters,
deputy sheriffs and other public safety personnel hired by local fire
departments or the Sheriff, as applicable, and the number of those employees
that are filling authorized, funded positions for new employees; and

(3) A detailed analysis of the manner in
which each expenditure:

(I) Conforms to all provisions of
this act; and

(II) Does not replace or supplant
funding which existed before October 1, 2007, for the purposes set forth in subsection 1 of section 14 of this act for
the support of the services provided by local fire departments and the Sheriff
in each applicable area; and

(c) Any other information required to complete
the form for the report.

4. The Legislative Commission may review
and investigate the reports submitted pursuant to this section and the
expenditure of any proceeds pursuant to section 17 of this act.

Sec. 18. Payment
of proceeds to Department; distribution of proceeds. [Effective through September 30, 2027.]

1. All fees, taxes, interest and penalties
imposed and all amounts of tax required to be paid to the County pursuant to
this act must be paid to the Department in the form of remittances payable to
the Department.

2. The Department shall deposit the
payments with the State Treasurer for credit to the Sales and Use Tax Account
in the State General Fund.

3. The State Controller, acting upon the
collection data furnished by the Department, shall monthly:

(a) Transfer from the Sales and Use Tax Account
to the appropriate account in the State General Fund 1.75 percent of all fees,
taxes, interest and penalties collected pursuant to this act during the
preceding month as compensation to the State for the cost of collecting the
tax.

(b) Determine the amount equal to all fees,
taxes, interest and penalties collected in or for the County pursuant to this
act during the preceding month, less the amount transferred to the State
General Fund pursuant to paragraph (a).

(c) Transfer the amount determined pursuant to
paragraph (b) to the Intergovernmental Fund and remit the money to the County
Treasurer.

Sec. 19. Redistribution
of improperly distributed proceeds. [Effective through September 30, 2027.]The Department may redistribute any
proceeds from the taxes, interest or penalties collected pursuant to this act
which is determined to be improperly distributed, but no such redistribution
may be made as to amounts originally distributed more than 6 months before the
date on which the Department obtains knowledge of the improper distribution.

Sec. 20. Creation
by County Treasurer of special revenue fund for use of proceeds. [Effective
through September 30, 2027.]

1. The County Treasurer shall:

(a) Deposit money received from the State
Controller pursuant to paragraph (c) of subsection 3 of section 18 of this act
into the County Treasury for credit to a special revenue fund created for the
use of the proceeds from the tax authorized by this act; and

(b) Allocate that money into separate accounts
within that fund as appropriate to carry out the provisions of paragraph (a) of
subsection 3 of section 14 of this act.

2. The special revenue fund of the County
created for the use of the proceeds from the tax authorized by this act must be
accounted for as a separate fund and not as a part of any other fund.

3. Interest earned on the special revenue
fund created pursuant to subsection 1 must be credited to the fund. The money
in each such fund must remain in the fund and must not revert to the County
Treasury at the end of any fiscal year.

Sec. 21. Action
by Department on behalf of County. [Effective through September 30, 2027.]In a proceeding arising from an
ordinance imposing a tax pursuant to this act, the Department may act for and
on behalf of the County.

Sec. 22. Construction
of act; severability of provisions. [Effective through September 30, 2027.]

1. The powers conferred by this act are in
addition and supplemental to, and not in substitution for, the powers conferred
by any other law and the limitations imposed by this act do not affect the
powers conferred by any other law.

2. This act must not be construed to
prevent the exercise of any power granted by any other law to the County or any
officer, agent or employee of the County.

3. This act must not be construed to
repeal or otherwise affect any other law or part thereof.

4. This act is intended to provide a
separate method of accomplishing the objectives of the act, but not an
exclusive method.

5. If any provision of this act, or
application thereof to any person, thing or circumstance, is held invalid, the
invalidity shall not affect the provisions or application of this act which can
be given effect without the invalid provision or application, and to this end
the provisions of this act are declared to be severable.